How will Stability Affect San Ramon & Danville Real Estatte?

Is the real estate market shifting in San Ramon & Danville?

• Is it time to buy or sell a home?
• Should a short sale be considered?
• Should we consider foreclosure and walk away?

The right time to buy or sell a home is always dependent on each person's unique circumstances and needs, but market dynamics and finances are always two of the critical factors when deciding to buy or sell a home. Nationally, housing market dynamics seem to be stabilizing and we see that happening in Dublin, Danville and San Ramon. In fact, these three communities are doing better than many East Bay communities and much of the nation.<!--more-->

First, any homeowner wrestling with walking away from their home and allowing it to go into foreclosure is encouraged to read this article.

What's Happening in the Housing Industry?

The average rate on the 30-year fixed mortgage dropped to the lowest since records have been kept, creating a tempting target for people to refinance their homes. The average rate on the 30-year fixed mortgage hit 3.87 percent recently, down from 3.98 percent. No one alive has seen a 30-year rate like that!

Capital Economics expects the housing crisis to end this year - one of the main reasons: loosening credit. Credit requirements for mortgage loans have remained fairly stable for the last year - this after several years of constant change and tightening of mortgage lending standards. The most significant factor may be that many banks are starting to loosen loan-to-value ratios (LTV) - (82% LTV compared to 74% LTV 9 months ago.

Bank of America, JPMorgan Chase, Wells Fargo, Citigroup, and Ally Financial may soon pay $25 billion to settle the robo-signing affair. Here's how the $25 billion would be distributed: $17 billion for principal reductions, $3 billion for homeowners whose homes have been foreclosed, and $5 billion for state and federal foreclosure programs.

News from the Federal Reserve

"Looking ahead, we may still need to provide more policy accommodation if the economy loses momentum or inflation remains well below 2 percent," San Francisco Fed President John Williams said in remarks prepared for delivery to the Bishop Ranch Forum in San Ramon CA. "Should that occur, restarting our program of purchasing mortgage-backed securities would likely be the best way to provide a boost to the economy."

These factors are not an indication that local housing markets are going to switch any time soon from a buyer's market to a seller's market. They will help to contribute to home value stability as downward price pressures from foreclosures and short sales interact with the dynamics of supply and demand. Right now, Danville, Dublin and San Ramon have low housing inventories and many listings are receiving multiple offers.

Danville, San Ramon & Dublin Real Estate Trends

All of the factors and dynamics mentioned above are playing out in Danville, Dublin and San Ramon. One factor happening locally that will have a significant impact on the local real estate markets and home values is increased employment in the Bishop Ranch area. Over the next couple of years, this will be a positive contributing factor for home value stability in Dublin, Danville and San Ramon CA.

A particular question of interest for homesellers is timing - with people relocating into San Ramon, Danville and Dublin - when will supply and demand be most favorable for homeowners seeking top dollar for their home?

We're keeping a close eye on developments in Bishop Ranch and elsewhere around San Ramon, Danville and Dublin. Contact Craig to discuss optimal timing for listing your home for sale.

Craig is a Certified Short Sale Specialist. We have handled many short sales in the last 5 years - condos, townhomes, detached homes - in all price ranges. Interview the Harper Team for a potential short sale on your Danville, Dublin or San Ramon home.

Home Buyers - You can get more specific details on homes in your price range by emailing Craig and requesting a Real Estate Pricing Specific Trend Report - be sure to specify a zip code and price range.

San Ramon, Dublin and Danville Home Sellers - You can request a Real Estate Pricing Specific Trend Report for your home. Email Craig with your neighborhood and pricing info.